Terra founder Do Kwon announced that he plans to ‘fork’ the blockchain in an attempt to revive LUNA after the collapse of the token last week.
Forking refers to changing the protocol of blockchain.
6/ The Terra chain as it currently exists should be forked into a new chain without algorithmic stablecoins called “Terra” (token Luna - $LUNA), and the old chain be called “Terra Classic” (token Luna Classic - $LUNC). Both chains will coexist.
— Do Kwon ???? (@stablekwon) May 16, 2022
In essence, Kwon plans to create a new blockchain that’s modelled on the previous one, with some minor changes to the existing protocol.
Kwon also proposed removing USTerra, the stablecoin, away from the Terra system, conceding that tethering the two tokens was a problem in the first place.
The founder also said that alongside the creation of a new blockchain, a billion LUNA tokens that would be created to help with the price, which has fallen from around US$60 last week to a fraction US$0.0001834 due to hyperinflation of the token.
Luna owners will vote on the proposals tomorrow, and if passed, the fork would occur on 27 May.